Which statement is true about a limited liability company?

A limited liability company (LLC) is recognized for its ability to provide its owners (referred to as members) with limited liability protection, similar to that of a corporation, while maintaining the operational flexibility and tax advantages of a partnership. One of the key characteristics of an LLC is its potential duration; an LLC can exist perpetually, provided it is in compliance with applicable laws and regulations. This means that the LLC can continue to operate even if one of its members leaves, dies, or otherwise exits the business, allowing for continuity and stability in business operations.

This contrasts with other forms of business entities that may dissolve upon certain events, such as the death of an owner in a sole proprietorship or partnership. Consequently, the ability of an LLC to "last forever" highlights its robust structure designed to ensure long-term business viability.